SCHEDULE: Sit Investment Associates Transitions Back to Schedule 13G

Sit Investment Associates and its subsidiary Sit Fixed Income Advisors II, LLC are transitioning back to a Schedule 13G filing for Aberdeen Government Markets Income Fund, indicating their holdings are no longer intended to influence control.

Summary

• Sit Investment Associates, Inc. and Sit Fixed Income Advisors II, LLC (collectively, the 'Reporting Persons') are filing an amendment to their Schedule 13G, marking a transition back from a Schedule 13D filing.
• This change signifies that the Reporting Persons no longer hold securities of Aberdeen Government Markets Income Fund with the purpose or effect of changing or influencing control of the issuer.
• As of September 29, 2026, the Reporting Persons collectively beneficially own 12,145,653 shares of common stock, representing 37.3% of the class.
• The ownership percentages are based on 32,590,193 shares of common stock outstanding as of May 31, 2026, as reported by the Issuer.
• Both Sit Investment Associates, Inc. and Sit Fixed Income Advisors II, LLC are registered investment advisers.
• All reported securities are owned by client accounts managed by the Reporting Persons, who disclaim beneficial ownership of these shares.

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a neutral to slightly positive filing, indicating a shift in reporting strategy rather than a fundamental change in holdings or company performance.

Positives

• The transition back to a Schedule 13G indicates a de-escalation of any potential activist intent, suggesting a return to a more passive investment stance.
• The filing confirms a significant but stable holding of 37.3% of the outstanding common stock.
• The Reporting Persons are registered investment advisers, implying professional management of the assets.

Negatives

• The filing does not provide specific financial performance data for the Aberdeen Government Markets Income Fund itself, focusing solely on the ownership change.
• The reason for the initial shift to a Schedule 13D and the subsequent return to a 13G is not detailed beyond a change in investment intent.

Risks

• While the filing states the intent is no longer to influence control, the significant stake of 37.3% could still be perceived as a potential influence factor by the market.
• The lack of detailed performance metrics for the fund itself leaves investors to infer the underlying health of the investment.

Future Outlook

The filing does not contain forward-looking statements or guidance regarding the future performance of the Aberdeen Government Markets Income Fund. The outlook pertains to the reporting strategy of Sit Investment Associates.

Management Comments

• The Reporting Persons no longer hold securities of the Issuer with a purpose or effect of changing or influencing control of the Issuer, or in connection with or as a participant in any transaction having that purpose or effect.
• Accordingly, the Reporting Persons are transitioning back to a Schedule 13G pursuant to Rule 13d-1(c) of the Exchange Act in accordance with Rule 13d-1(h) of the Exchange Act, and this Amendment No. 10 will serve as the Reporting Persons' exit Schedule 13D.

Industry Context

StockSavvy.ai notes that the transition from a Schedule 13D back to a Schedule 13G is a common regulatory maneuver for large institutional investors whose investment strategy shifts from active influence to passive holding. This often occurs after a period of engagement or when initial objectives have been met or altered.

Stakeholder Impact

• Shareholders of Aberdeen Government Markets Income Fund may see this as a signal of reduced activist pressure, potentially leading to a more stable investment environment.
• Other institutional investors and market participants will note the change in reporting status, which could influence their perception of the fund's strategic direction.

Next Steps

• The Reporting Persons will continue to hold their investment in Aberdeen Government Markets Income Fund under the new reporting classification.
• The fund's performance will continue to be managed by Sit Investment Associates and Sit Fixed Income Advisors II, LLC.

Key Dates

Keywords

Aberdeen Government Markets Income Fund, Schedule 13G, Sit Investment Associates, Sit Fixed Income Advisors II, Beneficial Ownership, Investment Adviser, Common Stock, SEC Filing